Arizona Real Estate License Practice Exam 2026 - Free Real Estate Practice Questions and Study Guide

Question: 1 / 1505

If a listing agent is aware of an insect infestation in a home, what should she do?

Advise the homeowner to paint the floorboard to disguise the damage

Disclose the information to potential buyers

Disclosing the information about an insect infestation to potential buyers is crucial for several reasons. Transparency in real estate transactions is not only a legal obligation but also an ethical one. Agents are bound by the duty to disclose any material information that could affect the buyer's decision-making. An infestation can lead to serious damage and financial loss for the buyer if it remains unaddressed, and failure to disclose such critical information can result in legal repercussions for the agent and the seller.

By informing potential buyers about the infestation, the listing agent supports informed decision-making and upholds the integrity of the transaction process. This allows buyers to assess the situation accurately and possibly negotiate repairs or treatments before finalizing the purchase, fostering trust in the real estate transaction.

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Keep quiet until the transaction is closed

Put out bait and not mention the problem to anyone

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